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Is Student Debt Financially Crippling Young Americans?

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The Federal Reserve Bank of New York revealed that, according to research, students in the United States collectively owe roughly $1.2 trillion in student loans – a $72 billion increase from last year.

As the cost of higher education continues to rise, many people find themselves paying for their degrees decades after graduation.

Past research showed that increase the cost of higher education improves two things: unemployment rates and personal earnings; however, new data says this might not be true.

In another study, Bankrate.com discovered that 56 percent of millennials are shelving major life events until they get their finances – specifically student debts – under control. This includes saving for retirement, buying cars, and purchasing homes.

Millennials aren’t’ the only ones suffering financial setbacks from student debt, though. In another survey, researchers found that 43 percent of older Americans are comping with student debt too. This means putting aside milestone purchases to pay off debt.

Steve Pounds, an analyst for Bankrate said, “Delaying major life milestones such as buying a home or saving for retirement doesn't only affect the individual and his or her family; it also has ill effects on the overall economy.”

While only 28 percent persons 18 to 29 years old said they had student debt, more than half said they didn’t get enough guidance or advice regarding the financial risks of school loans.

Are You Facing Overwhelming Student Debt?

At Atlas Consumer Law, we have the legal experience and skill you need to combat debilitating student loans. If you’re having trouble paying back your loans, get in touch with a legal representative from our firm. We have helped countless clients get the financial relief they need through bankruptcy, debt consolidation, and more.

To learn more about your financial options with us, contact Atlas Consumer Law today.

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